Weekly insights into our crazy world.

Saturday, April 11, 2020

APR 11 THE HISTORY OF CORONA BEER


APR 11  THE HISTORY OF CORONA BEER

Beer lovers worldwide panicked on Wednesday when Grupo Modelo announced its suspending production of Corona Extra. See, both the beer and the virus are named after the Latin word Coronam, (Corona in Spanish and Italian), which means 'Crown.' While many people initially searched on "Beer Virus," just the opposite occurred. Sales of Corona beer are up 24% from a year ago. Nope, the reason for the closure is simple: the Mexican government shut down non-essential businesses (beer isn't essential?) until April 30. All of which has many people wondering about the history of this beloved beer, so here goes:

THE ORIGINS. Ellis Island was the top port of entry during the Great Second Migration from Europe to the Americas. Yet nearly a million immigrants also came to the New World through the Mexican port city of Veracruz. These included numerous German brew-masters. They introduced a Viennese lager in Monterrey in 1890 called Negro Modelo. It was a hit. Then, in 1925 they released another popular style back home: The Pale Lager. It was called Corona Extra.

THE BOTTLE. At first, the Corona brand used the same brown bottles as Negra Modelo. See, even today, most beer is placed in dark colored bottles. That's because sunlight...UV rays to be exact...damages the product. Tinted glass protects beer. Nonetheless, the brewers wanted to show off the beautiful golden color of their new lager. They bucked science in favor of marketing and the result was fabulous!

THE LIME. Even more iconic than the clear bottle is Corona beer's famous garnish: A green lime wedge inserted into the bottle's mouth. Millennial beer enthusiasts will tell you: 'The lime adds a citric zest to enhance a tart bouquet and finish.' But if you've ever drank a cerveza at a cantina in humid Jalisco, you know the real reason behind the tradition: Lime keeps flies from swimming in your beer!

THE PUSH: With government help, Grupo Modelo became the top brewer in Latin America. With breweries in the capital and Guadalajara, it looked to expand into other Mexican states. Rather than compete with popular regional brands like Victoria and Pacifico, Grupo Modelo instead just purchased the breweries. Then, in 1976, Corona Beer went viral. It crossed the border and was sold in California and Texas. It instantly became associated with surfers and nachos and was a hit.

THE MERGER. In the 45 years since, sales of Corona have never decreased. It's now available in all 50 states...and 180 countries as well. With $29 million in annual earnings, it's the ninth most popular beer on earth. In the US, it's fifth on the list. Sales for #5 Corona continue to rise, while sales for #1 Bud Light continue to slide. In response, Anheuser-Busch InBev decided: If you can't beat 'em, join 'em. They purchased Grupo Modelo in 2013...much in the same manner Modelo bought up Victoria and Pacifico decades earlier.




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